Universalize food entitlements to avert hunger and aid growth

Context: The pandemic necessitates a good case study for universalization of PDS.  

Government Steps:  

• Enhanced budgetary allocation for the Mahatma Gandhi National Rural Employment Guarantee Act.

• Government had increased allocations under the Public Distribution System (PDS). 

Assessment of present crisis: 

• There is a sharp contraction in industrial activity during the lockdown. 
• Recovery will be slow and painful as quarterly growth rates was slowing down sharply. 
• Millions of people have been rendered jobless and have returned home. 

Need for universalisation of PDS:

• Need of support: Those not on the NFSA list may need a food subsidy now because of their changed circumstances.

• Exclusion error: People failed to get their entitled food supplies due to technical and administrative hurdles. 

• Delay implementation of “one nation one ration card”: The risk of a large chunk of beneficiaries losing out on their official entitlements will be very high.

• Best strategy to address the food stocks pile: Even if universalization is done, the government would still be left with 37 million tonnes (Which is higher than the buffer requirement). 
• Curb rising food inflation: Releasing food grains by universalizing the PDS for six months will not only reduce these stocks but also boost demand in the economy. 

Conclusion: India’s high food grain stocks appear as a boon and government should use them to ease the crisis.